90.2K

Verified Solution

Link Copied!

Paloma Company has four employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICA Medicare taxes are 1,45% of gross pay. Also, for the first $7,000 paid to each employee, the company's FUTA taxes are 0.6% and SUTA taxes are 5.4%. The company is preparing its payroll calculations for the week ended August 25. Payroll records show the following information for the company's four employees. In addition to gross pay, the company must pay one-half of the $98 per employee weekly health insurance; each employee pays th remaining one-half. The company also contributes an extra 8% of each employee's gross pay (at no cost to employees) to a pensior fund. Required: Compute the following for the week ended August 25. (Round your intermediate calculations and final answers to 2 decimal places.): 1) Employees' FICA Withholdings for Social Security 2) Employees' FICA Withholdings for Medicare \begin{tabular}{|l|l|l|l|l|l|} \hline Employee & Earnings Subject to Tax & Tax Rate & Tax Amount & \\ \hline Tax Rate & & & & & \\ \hline Dali & & & & & \\ \hline Trey & & & & & \\ \hline Kiesha & & & & & \\ \hline Chee & & & & & \\ \hline & & Total & $ & 0.00 & \\ \hline \end{tabular} 3) Employer's FICA Taxes for Social Security \begin{tabular}{|l|l|l|l|} \hline Employee & Earnings Subject to Tax & Tax Rate & Tax Amount \\ \hline Tax Rate & & & \\ \hline Dali & & & \\ \hline Trey & & & \\ \hline Kiesha & & Total & $ \\ \hline Chee & & & 0.00 \\ \hline & & & \\ \hline \end{tabular} 4) Employer's FICA Taxes for Medicare \begin{tabular}{|l|l|l|l|l|l|l|} \hline & \multicolumn{1}{c|}{ Earnings Subject to Tax } & Tax Rate & Tax Amount \\ \hline Tax Rate & & & & & \\ \hline Dali & & & & & \\ \hline Trey & & & & & \\ \hline Kiesha & & Total & $ & 0.00 & \\ \hline Chee & & & & & \\ \hline & & & & \\ \hline \end{tabular} 5) Employer's FUTA Taxes 6) Employer's SUTA Taxes \begin{tabular}{|l|l|l|l|l|l|} \hline & \multicolumn{2}{|c|}{ Earnings Subject to Tax } & \multicolumn{1}{c|}{ Tax Rate } & Tax Amount & \\ \hline Tax Rate & & & & & \\ \hline Dali & & & & & \\ \hline Trey & & & & & \\ \hline Kiesha & & & & & \\ \hline Chee & & & & & \\ \hline & & & & & \\ \hline & & & & & \\ \hline \end{tabular} 8) Employer's Total Payroll-Related Expense for Each Employee

Answer & Explanation Solved by verified expert

See Answer